New Earnings Threshold Update – Effective 1 May 2026

The Minister of Employment and Labour has published a revised earnings threshold in terms of Section 6(3) of the Basic Conditions of Employment Act (BCEA). Effective from 1 May 2026, the threshold is set at R269,600.90 per annum.

This threshold applies primarily to office-based, administrative, managerial, and professional employees within the metal and engineering sector. Employees earning above this amount are excluded from certain provisions of the BCEA, including aspects related to working hours, overtime, rest periods, and additional remuneration for Sundays and public holidays.

It is important to note that this threshold does not apply to employees covered under the Main Agreement, which governs workshop, production, construction, and site-based roles up to artisan level.

Employers are encouraged to review their employee classifications and ensure alignment with the updated threshold, as this may impact compliance obligations and employee entitlements.

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